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Median equivalent income rose by 3.4 per cent in real terms in 2012. This was roughly the same income growth as in 2011 (3.3 per cent). People belonging to the 10th percentile (the income of one in ten of the population is below this level) had an increase in equivalent income of 2.1 per cent, while people belonging to the 90th percentile (the income of one in ten of the population is above this level) increased their income by 4.1 per cent.

Reduced income share in the bottom decile

The share of total household income received by the top decile was 20.6 per cent in 2012. This was the same share as in the year before. The share of income received by the bottom decile was 3.9 per cent in 2012. This was a small reduction from the previous year (4.0 per cent). Other summary measures of inequality suggest that there have been only minor changes in the income distribution between 2006 and 2012. The Gini-coefficient, a standard measure of income inequality, increased from 0.237 in 2011 to 0.239 in 2012.

Increase in the proportion of immigrants in the bottom of the distribution

In recent years, there has been a considerable shift in the demographic composition of the bottom decile of the income distribution. In 2004, 23 per cent of all people belonging to the bottom decile were either immigrants or people born in Norway with immigrant parents. In 2012, this proportion had increased to 42 per cent. In the overall population, 14 per cent were either immigrants or people born in Norway with immigrant parents.